OVERNIGHT FINANCE: Warren takes on SEC chief

TOMORROW STARTS TONIGHT: WARREN VS. WHITE: Peter Schroeder has the story: “Sen. Elizabeth Warren (D-Mass.) blasted one of President Obama’s financial regulators Tuesday, accusing the head of the Securities and Exchange Commission of a host of failures and shortcomings. In a lengthy 13-page letter, Warren takes to task Mary Jo White, the chairwoman of the Securities and Exchange Commission.” STORY: http://bit.ly/1Q3wgPn

— WARREN: “During this confirmation hearing and in the period immediately after, you also made promises to members of the Senate. You appear to have broken those promises… I am disappointed that you have not been the strong leader that many hoped for – and that you promised to be. I hope that you will step up to the job for which you have been confirmed.”

{mosads}– MJW: “I am very proud of the agency’s achievements under my leadership, including our record year in enforcement.”

— HOW IT PLAYED: MarketWatch: “Elizabeth Warren Blasts Mary Jo White’s Leadership.” …Boston Globe: “In Blunt Letter, Elizabeth Warren Blasts Head of SEC.” …New York Times: “Elizabeth Warren Calls SEC Chief ‘Disappointing.'” 

— WORTH NOTING, Sen. Sherrod Brown (D-Ohio) offered a more measured critique of White when I asked him after the Ex-Im hearing earlier today: “I’m concerned about the times that she’s had to recuse herself because it means we see two deadlocks. I think she’s doing her best. I don’t agree with her on every case, but I think by and large she’s doing her best.”

THIS IS OVERNIGHT FINANCE, and it’s only Tuesday. Tweet: @kevcirilli; email: kcirilli@digital-release.thehill.com; and subscribe: http://digital-release.thehill.com/signup/48. Back to work…

LEGISLATIVE DAYS UNTIL EX-IM’s CHARTER ENDS: 15.

WARREN ASSAILS EX-IM’s SMALL BIZ PORTFOLIO: “Sen. Elizabeth Warren (D-Mass.) accused the Export-Import Bank Tuesday of failing to meet congressional mandates to finance small businesses. Warren — who has said that she supports reauthorizing the Ex-Im before its charter expires June 30 — nonetheless called for reforms to the 80-year-old bank’s structure during a Senate Banking Committee hearing.” Story: http://bit.ly/1FqMpmv

— WARREN: “There is significant room for improvement in the bank’s operations… We should push the bank to do more for small businesses… We should hold the Ex-Im Bank accountable if it fails to reach those goals.”

— OVERHEARD AT THE HEARING, from a top Tea Party critic of the bank: “I didn’t really get the appeal of Warren before, but after watching her today — I got it.”

— THE POLICY BEHIND THE POLITICS: The Ex-Im Bank is required to make sure that 20 percent of its portfolio goes to small businesses. But the bank has missed that mark in three of the past four years. Sens. Mark Kirk (R-Ill.) and Heidi Heitkamp (D-N.D.) have a proposal that would raise that threshold from 20 percent to 25 percent. Sounds like a no-brainer, right? Wrong. The biz community, while supportive of Kirk-Heitkamp, doesn’t support this particular provision, arguing that Congress shouldn’t be mandating a bank’s portfolio requirements. 

Two quick takeaways…

1.) NOT THE ONION – – > SHELBY SUPPORTS WARREN: “Sen. Warren had some real poignant questions today. I have been advocating for a long time that the Export Import Bank shouldn’t be for one or two companies and that’s what it’s for, basically.” Both Warren and Shelby are expected to support the bank’s reauthorization.

2.) TOMORROW: HENSARLING V. HOCHBERG. Ex-Im Bank President Fred Hochberg will testify before the House Financial Services Committee tomorrow morning. The hearing is expected to last all day. Chairman Jeb Hensarling (R-Texas) is a top critic of the bank, and all signs point to the bank’s charter at least temporarily shutting down this month at the June 30 deadline. 

— HEARING PREP – – > EX-IM BOOK CLUB: Bank officials will distribute a 1.5-inch thick spiral bound book of documents to members of the Committee making their case that they’ve followed through on Congressional mandates aimed at reforming the bank in 2012. Read Hochberg’s letter at the front of the book: http://bit.ly/1M2FRiS

— HOCHBERG’S TESTIMONY: “EXIM Bank does not pick winners and losers; rather, it serves any eligible American business seeking competitive financing to export goods and services. EXIM’s customers pay fees and interest for the financial services offered by the Bank, and as a result, EXIM Bank is a self-sustaining agency.” http://bit.ly/1eNWvsg

DEMOCRATS ATTACK HOAGIE CHAIN, via me: “Two Democratic senators said Tuesday they will introduce legislation banning noncompete contracts for low-wage workers. The bill from Sens. Chris Murphy (D-Conn.) and Al Franken (D-Minn.) would ban noncompete clauses for workers making less than $15 an hour or $31,200 annually, or the minimum wage in the employee’s municipality.”

“The move follows reports the Jimmy John’s sandwich shops requires some of its low-wage workers to sign two-year noncompete agreements prohibiting them from working at retail stores that make at least 10 percent of their sales from sandwiches.” http://bit.ly/1M2BEvu

WIKILEAKS PLACES 100K BOUNTY ON OBAMA’S TRADE DEAL. William Maudlin for WSJ: “On Tuesday, the anti-secrecy organization WikiLeaks offered to pay $100,000 for a copy of the entire draft agreement, known as the Trans-Pacific Partnership.” http://on.wsj.com/1IdTFt2 WATCH THE WIKI VIDEO: http://bit.ly/1FqSEqq

LAWMAKERS GRILL INVESTIGATORS OVER DEADLY AMTRAK CRASH. Keith Laing: “House Republicans spent hours on Tuesday criticizing the pace of the investigation into a deadly Amtrak crash in Philadelphia while their Democratic colleagues blamed GOP funding decisions for decreasing rail safety.

“Republicans criticized National Transportation Board (NTSB) investigators for delays in confirming crash details beyond the 106-mile-per-hour speed of the train that was reported shortly after last month’s crash, such as whether or not the engineer was using his cell phone in the seconds before the derailment. Democrats, meanwhile, blasted GOP lawmakers for funding cuts that were approved by a House committee the day after the crash.” http://bit.ly/1Gj5QEw

TAX WATCH – – > OFFSHORE TAX MEASURES UNDER SIEGE. Bernie Becker has the story: “A powerful business lobby is sounding the warning to lawmakers about a global effort to crack down on offshore tax evasion. The National Association of Manufacturers warned the top congressional tax writers that the so-called Base Erosion and Profit Shifting project ‘could have a negative impact on the global competitiveness of companies in the United States and threaten the jobs of U.S. workers.'” http://bit.ly/1AM5qUV

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